good day everybody.


anyone's been watching this blue chip counter with market cap of more than 2billion ringgit free falling from RM2.20-2.30 a couple of months back to RM0.4x yesterday?

from maybank database, it shows that

latest quarter(2Q) earning is at 9.07 cents while,
first half(1H) earning is at 14.18 cents

if we take the 1H multiple by two to get estimated full year EPS of 28cents. this counter is barely trading at 2.x EPS.

at the current price of 60cents, its a real steal isn't it?

yeah.. very cheap!

my friend.. scald this counter yesterday.. bought in at .39 and sell at around .55

now waiting to swoop in again.

me to wanna follow.. !

i think knm has a good fundamental and order book.. to go through all this recession.. (4.3 billion already in order book - considered a good revenue for 1-2 years to come)

what say other sifu?

Today's Bizweek article in TheStar about KNM
http://biz.thestar.com.my/bizweek/story.as...732&sec=bizweek

most parties are so positive about the company but the share price is showing otherwise.

Although the fundamental of the company a bit shaky, but seems like injustice to have such free fall, maybe should buy some. Stock buy back, director increase holding all cannot match the foreign sell off...

I also got burned by this counter and my opinion is to wait for Najib's Announcements first and see how market performs.

No one can be certain of the best time to enter but enter we must to reap the rewards.

This post has been edited by georgechang79: Oct 18 2008, 03:08 PM

Finally we have dedicated thraed of KNM. I wanted to create it but I'm a noob in shares.

Today's The Star has a full page article on KNM.

Quoted from Thestar,



I don't think management should be upset with the share price.

Share price won't alter company business or company profitability. If a company can prove they are generating good profit to the shareholders, with good earning translate into good dividend yield then soon and later investors will be lured into it. Management doesn't need to do anything, what they have to do is to deliver good financial result and good return to the shareholders, eventually share price will follow suit.

I reckon recent of share price plunging is more due to

1. Oil price dropping significantly which might affect significantly future profitability outlook
2. Foreign investors have to sell due to downgrading of O&G sector, as well as redeemption and deleveraging issue.
3. Poor market sentiment.

Deliver good result and good dividend to shareholders then all doubt will be cleared then. If not, just like market share price suggested, profitability issue will be severely affected, then it is justified to see a share plunge because of lower profitability issue.

Do remember this share has been jumped triple or more in just a few year time because of O&G sector frenzy due to sky-rocketing oil price which is in pace of earning improvement.

What I'm afraid of is bringing the company to private ...

Hey, all the sifu, i'm newbie here. I'm very interested to this stock and i have been watching it for a year. I think it is very potential. Even it's price is on down trend and i believe it will rebound one day. The only problem i can see from its history was the cash flow which is not that stable. I hope it will not privatize because there are not much potential stock in Malaysia nowaday.

<< Even it's price is on down trend and i believe it will rebound one day. >>

There are numbers of counter which will never recover. Eg. TRANSMILE, AXIS

I agreed also. There are risk to buy in down trend stock. But i think it is really depends on the fundamental/achievement of the counter. The market will correct the price eventually if it is a good stock. The current price of KNM is very attractive. Do you it will go lower again?

40sen a piece is a good bet... I'm waiting for a 20sen a piece before picking up some... Patience... patience...

their oil futures contract kena margin call?

Transmile is a rubbish stock, Axis is speculative counter. You cannot compare apple with durian.

Seems like the volume has been declined significantly; roughly 30k for the morning session.

the general investing public won't know whether its an apple or a durian until its too late. Before the revelation of the transmile saga, it was a darling stock

This post has been edited by Singh_Kalan: Oct 20 2008, 10:19 AM

Yup thats what i mean

KNM price doesn't swing much today.

what would happen if knm goes private? noob here

They pay you the cash, you give them the share.

but @ what price they determine the value?

They can come out whatever price they wish.

Just if too low, it won't able to do so (to take it private), as existing shareholders might not agree to sell.

okay, understood.

Last time Magnum was @ 2.xx. looks like 2 years average..

* as long as higher than my entry price, I'm happy

Transmile wasnt rubbish until the revealing of its accounting scandal

if not DHL wouldnt have cooperated with them.

it will cost some money..... and at the current situation, those minority shareholders who bought KNM at RM2.xx and still holding it will pray hard that it wont be privatised.


ouch....

---

Added on October 20, 2008, 7:51 pmi jst read something about these privatisation stuff, if the minority shareholders dont agree to sell, they can still privatise the company right? those who dont agree to sell will be holding on to a stake of a private company, am i right?

This post has been edited by beginner: Oct 20 2008, 07:51 PM

No, it cannot be done on listed company.

Once they reached over 90%, they have to mandatory to take over the remaining 10%, disregard of the 10% agree or not, this is to protect minority shareholders.

It doesn't make sense for minority shareholders to dispose or sell if the company indeed will be successful being privatised as minority shareholder in non-listed company might not be taken care at all by the majority shareholder, as a non-listed company major shareholder can do whatever they wish on the company which doesn't need to follow SC guidelines and regulations anymore.

so what happens if the minority 10% cant agree with the price?

Once they reached over 90%, 10% will be forced to sell as said.

Unless it is fall short of 90%, then it depends on situation and how they carry out the deal or whether they will try to maintain the listing status or not.

This post has been edited by cherroy: Oct 21 2008, 04:17 PM

Just to add, It is call MGO = Mandatory General Offer
See the Mandatory there

KNM slides again today ... morning session ended at 0.51

What is this all about? From the New Straight Times online : http://www.btimes.com.my/Friday/Latest/Reknm.xml

Good time to buy their shares?

This post has been edited by kmarc: Oct 24 2008, 12:48 PM

u would never know until u r deep fried. Target price remain unchanged 0.35.

This post has been edited by Singh_Kalan: Oct 25 2008, 12:36 PM

margin call by bank

It's below 50 cents now (0.480).

30 OCT - KNM 0.585 !

Just a temporary ?

the lowest is 0.41 ! so will it back to 0.41 ?

any idea ?

KNM lowest is 0.390 and it happened on 16-Oct-08.

I have monitoring for few weeks, now is a right time to get in.
any idea guy ? please check the previous result !

KNM loses its attractiveness this morning.

KNM overtakes again. Today's high at 0.715!

base on the graph is a repaet graph that going downward but then for short term will be fine for 1 or 2 days more

0.735 is new high. Speculation? China factor? Volume is 300k.

Open 0.69 , 0.75 is new high

Volume is touching 500k soon.

Volume exceeds 1m today.

contributed 10% for today's vol....kool

Yes. Compare to Genting only got 57586.
missed 2 zero ! kool !

shooting 0.75 as highes price today...
wonder if any speculation is going on as well because oil price is slidding

Oil price is below USD 60 now: 59.95 -2.46

hi guys, newbie here, may i noe wat is the min. unit tat we need to buy? can we just buy 5 units?

1 lot == 100 share

yup so meaning if u buy 5 lot for this share will cost u

if saying the price is 0.50 meaning buying 5 lot will cost u rm 2500?

Market price let say RM 0.50

1 LOT = 100 SHARES

5 LOT = 500 SHARES

500 SHARES X RM 0.50 = RM 250.00

so if prices were to rise to 0.65 ? and min. how many lot do we need to buy?

sorry for all thsi stupid quest..reli wann understand more : )

Minimum transaction is 100 shares which is 1 lot

So if 0.65 you have capital gain of 15 % if you bought at RM 0.50. Exclude brokerage charges for buy and sell...

u buy 5 lots, so in total it costs u 250.... then u sell all @ 6.25, u get 325... total gain = 75 (BUT, u cant get back 75 actually coz in the middle u need to pay all kind of fees)

min u need to buy 1 lot (100 shares) for normal stocks.... some stocks can be traded in odd lots as well, but most of the time u need to buy at least 100 share

If you buy too little shares, it needs higher price to breakeven.

Take 500 shares @ 0.50 for example, it takes 0.616 to break even (including the fees).

Today new high: 0.765

wow! the fees cost so much? how is this counted?

Fee Minimum RM28/0.42% +RM1/1000 Stamp Duty +0.03 Bursa Cost ** for CIMB i-trade**

For example now KNM 0.75.

10 lot x 100 = 1000

1000 x 0.75 = RM 750

RM 750 + transaction fee (around 20++) = RM 770++

am i right ?

Yes. RM 779.22 to be exact.

David83, You have KNM share ?

Sold few weeks ago. Only got 1000 shares.

Bought at 0.55 and sold at 0.675.

Good. Make RM100. I bought at 0.685 and still holding now.

predictions for monday?

I think will down a bit as affected by US stock last Friday.

FMR & FIL dispose of 38m KNM shares

KUALA LUMPUR: FMR LLC and FIL Ltd disposed of more than 38 million shares in KNM Group Bhd in early November.

A filing with Bursa Malaysia showed the funds disposed of 7.13 million shares on Nov 7 and 31.01 million shares on Nov 10.

After the recent disposals, their combined shareholding in the company, which is involved in the oil and gas supporting industries, was reduced to 6.57% or 255.95 million shares.

KNM share price closed at 65.5 sen on Nov 7 and 69 sen on Nov 10. Its share price was trading at a 52-week high of 2.48 on Jan 2.

At the current price of 66.5 sen, it is trading at a historical price-to-earnings of 8.41 times.

URL: http://biz.thestar.com.my/news/story.asp?f...34&sec=business

i think will drop further, wait n see

Then, I can stockpile some later.

Today price closed at 0.645 (-0.03).

What will be the lowest ? Any idea ?

Previous lowest was 0.390 (16-Oct-08)

This post has been edited by David83: Nov 17 2008, 10:38 PM

I'm not think so, now the rate is around 0.6x - 0.7x, up & down !

now at 0.645.

will it be going lower than that?

Open: 0.645
High: 0.655
Low: 0.625
Close: 0.640
Change: -0.005

Ya. I knew that. You bought at that price ?

How I wished that.

I missed both boats. The first time was roughly 0.4x and the second time was 0.39.

haha... Nobody know the lowest. If tomorrow drop to 0.4, you will still wait until it drop to 0.3 and ....

nvr ending wait

KNM hits 0.615 today!

Lowest 0.595 today. You buy ?

Maybe it'll be lower tomorrow.

I think so. Anyway, i'm aiming for Maybank tomorrow.

Foreign funds sell more KNM shares

PETALING JAYA: Foreign funds holding KNM Group Bhd shares have continued their selling spree.

Boston-based FMR LLC and Bermuda-incorporated FIL Ltd remained net sellers in the past three weeks, disposing of more than 100 million shares and reducing their stakes in KNM to 6% from 9.1% previously.

The selling pressure has capped KNM’s share price, which rose to a month’s high of 74.5 sen. Yesterday, the stock fell 4.5 sen to 61 sen.

KNM’s foreign shareholdings hover around 38%. Foreign selling, however, is not limited to KNM alone.

Other stocks with heavy foreign shareholdings have also seen a major outflow as foreign fund managers reduce their exposure in Asia to meet redemptions in their home countries.

The Employees Provident Fund, meanwhile, was a net buyer of KNM shares over the past three weeks, increasing its holding by a further 3.5 million shares.

KNM also continued its share buyback programme, accumulating over one million shares from the open market.

Earlier this month, the process equipment maker completed the acquisition of an 80% stake in Brazil’s HZM Companies.

In a report, a research house said KNM’s fundamentals remained intact given the low risk of cancellation of its existing RM4.7bil order book and lower-than-expected interest cost of 7% to 7.5% a year for the 150-million-euro loan secured for the acquisition of Borsig.

URL: http://biz.thestar.com.my/news/story.asp?f...02&sec=business

The last time foreign sell down happens, it drops huge...

I think we can expect entry at 0.4x? or low 0.5x

It drops to 0.585. Today's lowest maybe at 0.55

What is the price that you guys think we should buy today ? 0.55 ?

Today lowest is 0.54 and it closed at 0.58 for the morning session.

After lunch break, KLCI is most likely entering GREEN zone.

the two main problem with new investor, they mainly focus on one -two counter and they love cheap stock.
this is what i went thru last time; now
i rater buy some fundementally sound company, i dont think KNM not even worth for speculation.
i speculate resort, rm 2.1 and sell at 2.7, that pretty good and try to scoop back at 2.2.
worst come to worse if it fall below rm2 i dont mind keeping this resort share. which is fundementally sound stock.

bought at 0.565. now 0.57

monday diarrhea....

What resort share you can recommend for now?

so when do you think KNM will rebound? anytime soon? What is the bottom price.. thanks

Errr... I don't think anybody can answer that...... nobody knows when the bottom will come until it has passed......

However, it is thought that the bottom has not arrived but will be coming soon.....

This post has been edited by kmarc: Nov 22 2008, 11:21 PM

the market is too bad, there's no bottom line at all, regardless of whether fundamental or not...but i hope they'll buy back their own shares!

i dont think market is anywhere near bottom yet.
still a long way to go, sit tight for the bumpy ride ahead.

better aim for short term swing.

So tempting! Back to the price I bought previously.

LOWEST: 0.54
HIGHEST: 0.575
LDONE: 0.55

25-11-2008: Smallcap World emerges in KNM
by Jose Barrock
Email us your feedback at fd@bizedge.com


KUALA LUMPUR: Smallcap World Fund Inc has emerged as a substantial shareholder in oil and gas counter KNM Group Bhd, after accumulating 225.7 million shares or 5.7% equity in the company.

Capital Research and Management Co, a company founded by the late investor Jonathan Bell Lovelace, manages the Smallcap World Fund. Smallcap has stakes in other companies such as IJM Corp Bhd and DiGi.Com Bhd, albeit small, non-substantial stakes.

While Smallcap has accumulated a substantial shareholding, FMR LLC and FIL Ltd (Fidelity International Ltd) ceased to be substantial shareholders in KNM after hiving off close to 3.5 million shares in the oil and gas player. The two funds emerged as substantial shareholders in late July last year with 5.2% but had upped the stake to almost 10.5% of KNM as at end-July this year.

FIL had turned bearish on Malaysia and had slashed its holdings of Malaysian stocks after a portfolio manager of Fidelity’s US$886 million (RM3.2 billion) Asean fund, Gillian Kwek, had an underweight call on Malaysia, resulting from the political uncertainty.

KNM has certainly seen better times. From a high-flying stock, with a slew of positive analysts reports, the company has shed about 75% in market capitalisation from the start of the year after investors turned jittery.

The company had expanded by acquiring businesses in Germany, Brazil, Belgium, Italy and China among others, but with falling oil prices, some feared contracts being pulled back, which would adversely impact KNM.

KNM’s acquisition of German-based Borsig Beteiligungsverwaltungsgeselschaft mbH, also came under the spotlight, with its huge price tag of RM1.7 billion.

For the six months ended June this year KNM posted a net profit of RM150.4 million on the back of RM930.6 million in revenue. In contrast to a year ago, KNM’s net profits improved by almost 100% while revenue jumped 77%.

i thought now if purchase stock via osk the rate is much cheaper..i think the reduction is up to RM12..tat 1 im referring to online trading ??

Izzit true?

knm .. if can get at 0.54